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The Evolution of Reinforcement Learning in Quantitative Finance

arXiv.org Artificial Intelligence

Reinforcement Learning (RL) has experienced significant advancement over the past decade, prompting a growing interest in applications within finance. This survey critically evaluates 167 publications, exploring diverse RL applications and frameworks in finance. Financial markets, marked by their complexity, multi-agent nature, information asymmetry, and inherent randomness, serve as an intriguing test-bed for RL. Traditional finance offers certain solutions, and RL advances these with a more dynamic approach, incorporating machine learning methods, including transfer learning, meta-learning, and multi-agent solutions. This survey dissects key RL components through the lens of Quantitative Finance. We uncover emerging themes, propose areas for future research, and critique the strengths and weaknesses of existing methods.


A Tutorial on Explainable Image Classification for Dementia Stages Using Convolutional Neural Network and Gradient-weighted Class Activation Mapping

arXiv.org Artificial Intelligence

This paper presents a tutorial of an explainable approach using Convolutional Neural Network (CNN) and Gradient-weighted Class Activation Mapping (Grad-CAM) to classify four progressive dementia stages based on open MRI brain images. The detailed implementation steps are demonstrated with an explanation. Whilst the proposed CNN architecture is demonstrated to achieve more than 99% accuracy for the test dataset, the computational procedure of CNN remains a black box. The visualisation based on Grad-CAM is attempted to explain such very high accuracy and may provide useful information for physicians. Future motivation based on this work is discussed.


Is the Lecture Engaging for Learning? Lecture Voice Sentiment Analysis for Knowledge Graph-Supported Intelligent Lecturing Assistant (ILA) System

arXiv.org Artificial Intelligence

This paper introduces an intelligent lecturing assistant (ILA) system that utilizes a knowledge graph to represent course content and optimal pedagogical strategies. The system is designed to support instructors in enhancing student learning through real-time analysis of voice, content, and teaching methods. As an initial investigation, we present a case study on lecture voice sentiment analysis, in which we developed a training set comprising over 3,000 one-minute lecture voice clips. Each clip was manually labeled as either engaging or non-engaging. Utilizing this dataset, we constructed and evaluated several classification models based on a variety of features extracted from the voice clips. The results demonstrate promising performance, achieving an F1-score of 90% for boring lectures on an independent set of over 800 test voice clips. This case study lays the groundwork for the development of a more sophisticated model that will integrate content analysis and pedagogical practices. Our ultimate goal is to aid instructors in teaching more engagingly and effectively by leveraging modern artificial intelligence techniques.


Gemma Scope: Open Sparse Autoencoders Everywhere All At Once on Gemma 2

arXiv.org Artificial Intelligence

Sparse autoencoders (SAEs) are an unsupervised method for learning a sparse decomposition of a neural network's latent representations into seemingly interpretable features. Despite recent excitement about their potential, research applications outside of industry are limited by the high cost of training a comprehensive suite of SAEs. In this work, we introduce Gemma Scope, an open suite of JumpReLU SAEs trained on all layers and sub-layers of Gemma 2 2B and 9B and select layers of Gemma 2 27B base models. We primarily train SAEs on the Gemma 2 pre-trained models, but additionally release SAEs trained on instruction-tuned Gemma 2 9B for comparison. We evaluate the quality of each SAE on standard metrics and release these results. We hope that by releasing these SAE weights, we can help make more ambitious safety and interpretability research easier for the community. Weights and a tutorial can be found at https://huggingface.co/google/gemma-scope and an interactive demo can be found at https://www.neuronpedia.org/gemma-scope


Learning Brave Assumption-Based Argumentation Frameworks via ASP

arXiv.org Artificial Intelligence

Assumption-based Argumentation (ABA) is advocated as a unifying formalism for various forms of non-monotonic reasoning, including logic programming. It allows capturing defeasible knowledge, subject to argumentative debate. While, in much existing work, ABA frameworks are given up-front, in this paper we focus on the problem of automating their learning from background knowledge and positive/negative examples. Unlike prior work, we newly frame the problem in terms of brave reasoning under stable extensions for ABA. We present a novel algorithm based on transformation rules (such as Rote Learning, Folding, Assumption Introduction and Fact Subsumption) and an implementation thereof that makes use of Answer Set Programming. Finally, we compare our technique to state-of-the-art ILP systems that learn defeasible knowledge.


A.I. Is Helping to Launch New Businesses

NYT > Economy

Sean Ammirati has been teaching a class on entrepreneurship for more than a decade. A professor at Carnegie Mellon University, Mr. Ammirati has groups of mostly graduate students start businesses from scratch over the course of the spring semester. Some of the start-ups that his 49 students created this year were classic examples of the form: a dating app for couples in long-distance relationships, a personalized fitness app. But Mr. Ammirati also noticed something unusual. "I have a pretty good sense how fast the progress that students should make in a semester should be," he said.


Multi-Agent Reinforcement Learning for Autonomous Driving: A Survey

arXiv.org Artificial Intelligence

Reinforcement Learning (RL) is a potent tool for sequential decision-making and has achieved performance surpassing human capabilities across many challenging real-world tasks. As the extension of RL in the multi-agent system domain, multi-agent RL (MARL) not only need to learn the control policy but also requires consideration regarding interactions with all other agents in the environment, mutual influences among different system components, and the distribution of computational resources. This augments the complexity of algorithmic design and poses higher requirements on computational resources. Simultaneously, simulators are crucial to obtain realistic data, which is the fundamentals of RL. In this paper, we first propose a series of metrics of simulators and summarize the features of existing benchmarks. Second, to ease comprehension, we recall the foundational knowledge and then synthesize the recently advanced studies of MARL-related autonomous driving and intelligent transportation systems. Specifically, we examine their environmental modeling, state representation, perception units, and algorithm design. Conclusively, we discuss open challenges as well as prospects and opportunities. We hope this paper can help the researchers integrate MARL technologies and trigger more insightful ideas toward the intelligent and autonomous driving.


Detecting Unsuccessful Students in Cybersecurity Exercises in Two Different Learning Environments

arXiv.org Artificial Intelligence

This full paper in the research track evaluates the usage of data logged from cybersecurity exercises in order to predict students who are potentially at risk of performing poorly. Hands-on exercises are essential for learning since they enable students to practice their skills. In cybersecurity, hands-on exercises are often complex and require knowledge of many topics. Therefore, students may miss solutions due to gaps in their knowledge and become frustrated, which impedes their learning. Targeted aid by the instructor helps, but since the instructor's time is limited, efficient ways to detect struggling students are needed. This paper develops automated tools to predict when a student is having difficulty. We formed a dataset with the actions of 313 students from two countries and two learning environments: KYPO CRP and EDURange. These data are used in machine learning algorithms to predict the success of students in exercises deployed in these environments. After extracting features from the data, we trained and cross-validated eight classifiers for predicting the exercise outcome and evaluated their predictive power. The contribution of this paper is comparing two approaches to feature engineering, modeling, and classification performance on data from two learning environments. Using the features from either learning environment, we were able to detect and distinguish between successful and struggling students. A decision tree classifier achieved the highest balanced accuracy and sensitivity with data from both learning environments. The results show that activity data from cybersecurity exercises are suitable for predicting student success. In a potential application, such models can aid instructors in detecting struggling students and providing targeted help. We publish data and code for building these models so that others can adopt or adapt them.


A survey on secure decentralized optimization and learning

arXiv.org Artificial Intelligence

Decentralized optimization has become a standard paradigm for solving large-scale decision-making problems and training large machine learning models without centralizing data. However, this paradigm introduces new privacy and security risks, with malicious agents potentially able to infer private data or impair the model accuracy. Over the past decade, significant advancements have been made in developing secure decentralized optimization and learning frameworks and algorithms. This survey provides a comprehensive tutorial on these advancements. We begin with the fundamentals of decentralized optimization and learning, highlighting centralized aggregation and distributed consensus as key modules exposed to security risks in federated and distributed optimization, respectively. Next, we focus on privacy-preserving algorithms, detailing three cryptographic tools and their integration into decentralized optimization and learning systems. Additionally, we examine resilient algorithms, exploring the design and analysis of resilient aggregation and consensus protocols that support these systems. We conclude the survey by discussing current trends and potential future directions.


MuRAR: A Simple and Effective Multimodal Retrieval and Answer Refinement Framework for Multimodal Question Answering

arXiv.org Artificial Intelligence

Recent advancements in retrieval-augmented generation (RAG) have demonstrated impressive performance in the question-answering (QA) task. However, most previous works predominantly focus on text-based answers. While some studies address multimodal data, they still fall short in generating comprehensive multimodal answers, particularly for explaining concepts or providing step-by-step tutorials on how to accomplish specific goals. This capability is especially valuable for applications such as enterprise chatbots and settings such as customer service and educational systems, where the answers are sourced from multimodal data. In this paper, we introduce a simple and effective framework named MuRAR (Multimodal Retrieval and Answer Refinement). MuRAR enhances text-based answers by retrieving relevant multimodal data and refining the responses to create coherent multimodal answers. This framework can be easily extended to support multimodal answers in enterprise chatbots with minimal modifications. Human evaluation results indicate that multimodal answers generated by MuRAR are more useful and readable compared to plain text answers.